McDonald’s’ (MCD) “Buy” Rating Reiterated at BTIG Research

BTIG Research reissued their buy rating on shares of McDonald’s (NYSE:MCDFree Report) in a report published on Wednesday morning,Benzinga reports. BTIG Research currently has a $350.00 price objective on the fast-food giant’s stock.

MCD has been the subject of a number of other reports. Argus dropped their price objective on shares of McDonald’s from $320.00 to $310.00 and set a “buy” rating for the company in a research note on Wednesday, August 26th. Mizuho reduced their target price on McDonald’s from $300.00 to $290.00 and set a “neutral” rating on the stock in a research note on Friday, July 31st. Deutsche Bank Aktiengesellschaft lowered their target price on McDonald’s from $325.00 to $300.00 and set a “buy” rating on the stock in a report on Monday. Citigroup raised their price target on McDonald’s from $335.00 to $345.00 and gave the stock a “buy” rating in a research report on Wednesday, August 5th. Finally, Sanford C. Bernstein reissued a “market perform” rating and issued a $295.00 price target on shares of McDonald’s in a report on Wednesday, August 5th. One research analyst has rated the stock with a Strong Buy rating, fifteen have assigned a Buy rating and eleven have assigned a Hold rating to the company. Based on data from MarketBeat.com, McDonald’s currently has an average rating of “Moderate Buy” and a consensus price target of $316.39.

View Our Latest Stock Report on McDonald’s

McDonald’s Trading Up 0.1%

Shares of NYSE MCD opened at $248.69 on Wednesday. The stock has a market cap of $175.98 billion, a price-to-earnings ratio of 20.20, a PEG ratio of 2.69 and a beta of 0.41. McDonald’s has a 52 week low of $247.65 and a 52 week high of $341.75. The company’s 50-day moving average price is $264.98 and its 200 day moving average price is $283.86.

McDonald’s (NYSE:MCDGet Free Report) last announced its earnings results on Tuesday, August 4th. The fast-food giant reported $3.38 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $3.32 by $0.06. McDonald’s had a net margin of 31.72% and a negative return on equity of 572.06%. The company had revenue of $7.10 billion during the quarter, compared to analysts’ expectations of $7.13 billion. During the same quarter in the previous year, the business posted $3.19 earnings per share. The firm’s quarterly revenue was up 3.7% compared to the same quarter last year. As a group, research analysts expect that McDonald’s will post 12.88 earnings per share for the current year.

McDonald’s Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Tuesday, December 15th. Investors of record on Tuesday, December 1st will be given a dividend of $1.93 per share. This represents a $7.72 annualized dividend and a yield of 3.1%. This is a positive change from McDonald’s’s previous quarterly dividend of $1.86. The ex-dividend date of this dividend is Tuesday, December 1st. McDonald’s’s dividend payout ratio (DPR) is currently 60.44%.

Institutional Trading of McDonald’s

Institutional investors have recently made changes to their positions in the stock. Security National Bank of Sioux City Iowa IA acquired a new position in shares of McDonald’s in the 2nd quarter valued at about $71,000. Anchor Investment Management LLC raised its holdings in McDonald’s by 3.6% in the second quarter. Anchor Investment Management LLC now owns 15,607 shares of the fast-food giant’s stock valued at $4,219,000 after buying an additional 537 shares during the period. Bullseye Investment Management LLC acquired a new position in McDonald’s during the second quarter valued at approximately $133,000. Marathon Wealth Advisors LLC grew its stake in McDonald’s by 1.4% during the second quarter. Marathon Wealth Advisors LLC now owns 10,510 shares of the fast-food giant’s stock worth $2,841,000 after buying an additional 148 shares during the period. Finally, U S Wealth Group LLC. increased its position in shares of McDonald’s by 30.8% in the second quarter. U S Wealth Group LLC. now owns 10,414 shares of the fast-food giant’s stock worth $2,815,000 after acquiring an additional 2,450 shares in the last quarter. 70.29% of the stock is owned by hedge funds and other institutional investors.

McDonald’s News Summary

Here are the key news stories impacting McDonald’s this week:

  • Positive Sentiment: McDonald’s raised its quarterly dividend 3.8% to $1.93 per share, or $7.72 annualized, marking 50 consecutive years of increases and officially placing the company among the Dividend Kings. The increase supports the stock’s income appeal, with a yield of approximately 3.1%. McDonald’s marks 50 consecutive years of dividend increases
  • Positive Sentiment: BTIG initiated or reiterated a “Buy” rating, while Citigroup maintained a Buy rating despite reducing its price target from $345 to $310. The revised target still implies substantial potential upside from current levels. McDonald’s earns Buy rating from BTIG Research
  • Positive Sentiment: One Wall Street analyst argues that the selloff has created a possible 45% recovery opportunity if McDonald’s can restore sales momentum and close its valuation gap with the broader market. McDonald’s potential 45% gain

McDonald’s Company Profile

(Get Free Report)

McDonald’s Corporation is a global quick-service restaurant company that operates and franchises restaurants under the McDonald’s brand. Its restaurants serve a menu that includes hamburgers, cheeseburgers, chicken sandwiches, French fries, breakfast items, desserts, salads, beverages and coffee. Offerings vary by market, and many locations provide drive-thru service, delivery and digital ordering through the McDonald’s mobile app.

The company operates through a heavily franchised business model, with restaurants owned and operated by independent franchisees, affiliates and the company itself.

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Analyst Recommendations for McDonald's (NYSE:MCD)

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